Financial Literacy in Schools: NISM Director Says Money Skills Must Become Compulsory

Financial literacy should become a compulsory part of school and undergraduate education in India, according to NISM Director Sashi Krishnan, who said young people need structured financial education to make informed decisions about money, credit, investments and digital fraud.

Financial concepts are currently taught unevenly across India's school system. While some institutions introduce money management through mathematics, commerce, economics or extracurricular activities, there is no uniform approach to teaching practical skills such as budgeting, insurance, investing, credit management and fraud prevention.

Krishnan said financial education should be treated as an essential life skill, similar to basic literacy, health education and digital fluency.

Every individual, regardless of their career, will eventually have to make financial decisions, including managing a salary, choosing insurance, evaluating credit, understanding taxes and investing for long-term goals. Without adequate preparation, young adults may learn through costly mistakes or become vulnerable to high-interest debt and financial scams.

NISM's Financial Literacy Push

The National Institute of Securities Markets (NISM) has been conducting investor awareness and financial literacy programmes across India.

According to Krishnan, NISM's resource-person network covers 27 states and 400 districts, with around 920 trainers. The organisation has conducted more than 13,200 investor awareness sessions since its inception and reached over 800,000 participants.

NISM also works with more than 1,000 higher education institutions through various student engagement programmes. Its National Financial Literacy Quiz has reached more than 400,000 students, while its Masterclass series has crossed one crore views.

Finance Students Need AI and Technology Skills

The financial sector is changing rapidly with the growth of fintech, artificial intelligence and digital investments. Krishnan said students entering the industry will need skills beyond conventional finance.

These include statistical modelling, machine learning, financial econometrics, artificial intelligence, algorithmic trading and behavioural finance.

NISM's programmes combine securities-market education with practical exposure through simulation and specialised laboratories, including securities market simulation, data sciences, RegTech and Bloomberg labs.

Students also undertake summer internships with financial-sector intermediaries and complete NISM certifications, helping them gain industry exposure before graduation.

NISM Partners With Colleges

To bridge the gap between classroom education and industry requirements, NISM works with universities and colleges by integrating certifications, e-learning courses and structured learning pathways into academic programmes.

Its offerings cover areas including securities markets, mutual funds, derivatives, investment advisory, portfolio management, research analysis and risk management.

NISM currently offers 40 skill-development modules and 28 e-learning programmes. Several universities have also incorporated its Financial Literacy Course for Bharat as a credit course.

The institute conducts summer schools and immersion programmes, while faculty-development initiatives help teachers bring industry perspectives into their classrooms.

AI Is Changing Finance Careers

Krishnan said AI can personalise learning by providing targeted practice, richer simulations and instant responses to routine questions. However, students must also understand how AI is transforming financial-sector jobs.

AI is increasingly being used in research, execution, fraud detection and advisory services. NISM therefore incorporates artificial intelligence, machine learning, data analytics, blockchain, generative AI and Python into relevant programmes.

Krishnan stressed that professionals who combine machine-generated insights with human judgement will remain valuable.

Tier-2 and Tier-3 Cities Could See Job Growth

India's expanding financial services industry could generate lakhs of new jobs, with a growing share of opportunities emerging in Tier-2 and Tier-3 cities.

Fintech is expected to remain a major employment driver, creating opportunities in digital payments, product management, fraud analytics and regulatory technology.

Demand is also expected to rise for professionals working in AI, data science, cybersecurity, credit and risk management, along with wealth management and investment advisory.

Traditional fields such as investment banking and fund management will continue to offer opportunities but are expected to remain competitive.

According to Krishnan, students who combine financial-market knowledge with technology skills could have the strongest career prospects as India's financial sector continues to evolve.